Key Points
- CEO Jeffrey Stibel bought 125,000 shares of LegalZoom.com at $6.15 each, totaling $768,750, increasing his ownership by 4.42% to nearly 2.96 million shares.
- LegalZoom reported mixed quarterly results: EPS of $0.12 missed estimates by $0.01, while revenue of $206.78 million beat expectations and rose 12.9% year over year.
- Analyst sentiment remains cautious, with a consensus “Hold” rating and an average price target of $9.25, even as the company has a $100 million share repurchase authorization in place.
LegalZoom.com, Inc. (NASDAQ:LZ - Get Free Report) CEO Jeffrey Stibel acquired 125,000 shares of the stock in a transaction on Monday, May 11th. The shares were acquired at an average price of $6.15 per share, with a total value of $768,750.00. Following the purchase, the chief executive officer owned 2,955,609 shares in the company, valued at $18,176,995.35. This represents a 4.42% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website.
LegalZoom.com Stock Down 0.5%
Shares of NASDAQ LZ opened at $6.10 on Tuesday. LegalZoom.com, Inc. has a fifty-two week low of $5.28 and a fifty-two week high of $12.40. The business has a 50 day moving average price of $6.23 and a two-hundred day moving average price of $8.16. The firm has a market cap of $1.05 billion, a PE ratio of 101.68, a price-to-earnings-growth ratio of 1.27 and a beta of 1.33.
LegalZoom.com (NASDAQ:LZ - Get Free Report) last issued its quarterly earnings data on Wednesday, May 6th. The company reported $0.12 earnings per share for the quarter, missing analysts' consensus estimates of $0.13 by ($0.01). LegalZoom.com had a net margin of 1.46% and a return on equity of 11.53%. The business had revenue of $206.78 million for the quarter, compared to analyst estimates of $202.14 million. During the same quarter last year, the business earned $0.13 EPS. LegalZoom.com's revenue for the quarter was up 12.9% compared to the same quarter last year. On average, analysts anticipate that LegalZoom.com, Inc. will post 0.27 earnings per share for the current year.
LegalZoom.com announced that its Board of Directors has authorized a share repurchase plan on Thursday, February 19th that allows the company to buyback $100.00 million in shares. This buyback authorization allows the company to reacquire up to 8.1% of its stock through open market purchases. Stock buyback plans are often an indication that the company's leadership believes its shares are undervalued.
Institutional Inflows and Outflows
A number of large investors have recently bought and sold shares of LZ. Brighton Jones LLC bought a new position in LegalZoom.com during the 4th quarter worth approximately $185,000. Amundi bought a new position in LegalZoom.com during the 1st quarter worth approximately $196,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in LegalZoom.com by 3.0% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 74,980 shares of the company's stock worth $646,000 after buying an additional 2,161 shares during the last quarter. Goldman Sachs Group Inc. lifted its holdings in LegalZoom.com by 9.5% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,313,429 shares of the company's stock worth $11,309,000 after buying an additional 113,769 shares during the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in LegalZoom.com by 1.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 275,978 shares of the company's stock worth $2,376,000 after buying an additional 4,607 shares during the last quarter. Institutional investors own 81.99% of the company's stock.
Wall Street Analysts Forecast Growth
A number of brokerages have weighed in on LZ. JPMorgan Chase & Co. lowered their price objective on LegalZoom.com from $14.00 to $11.00 and set an "overweight" rating for the company in a research note on Wednesday, February 18th. Weiss Ratings lowered LegalZoom.com from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Monday, April 6th. UBS Group lowered their price objective on LegalZoom.com from $8.00 to $7.00 and set a "neutral" rating for the company in a research note on Thursday, May 7th. Zacks Research raised LegalZoom.com from a "strong sell" rating to a "hold" rating in a report on Monday, February 23rd. Finally, Barclays reaffirmed an "underweight" rating and set a $6.00 target price (down from $9.00) on shares of LegalZoom.com in a report on Wednesday, March 4th. Three investment analysts have rated the stock with a Buy rating, four have given a Hold rating and three have assigned a Sell rating to the company's stock. According to MarketBeat, LegalZoom.com currently has an average rating of "Hold" and an average target price of $9.25.
Get Our Latest Analysis on LegalZoom.com
LegalZoom.com Company Profile
(
Get Free Report)
LegalZoom.com, Inc (NASDAQ: LZ) operates as a leading online legal technology company that provides a broad range of legal and business services to individuals, families and small businesses. Through its digital platform, the company offers customized legal documents and filing services, including business formation (LLCs, corporations and nonprofits), estate planning (wills and trusts), intellectual property protection (trademarks and copyrights), and ongoing compliance support. LegalZoom also connects customers with independent attorneys for consultations on matters such as family law, immigration and real estate.
Founded in 2001 by entrepreneurs Brian Lee, Brian P.
Further Reading
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